Tag: FCA

Renault aims to restart Nissan merger talks within 12 months: FT

FILE PHOTO: The logo of French car manufacturer Renault is seen at a dealership of the company in Illkirch-Graffenstaden near Strasbourg, France, January 10, 2019. REUTERS/Vincent Kessler/File Photo (Reuters) – France’s Renault SA intends to restart merger talks with Japanese automaker Nissan Motor Co Ltd within 12 months, after which it will set sight on… Continue reading Renault aims to restart Nissan merger talks within 12 months: FT

South America resists electric vehicles as local fuels remain in favor

SAO BERNARDO DO CAMPO, Brazil (Reuters) – Meeting in Brazil this week, auto executives from Toyota to GM talked up traditional fuel sources like ethanol, natural gas and diesel, underlining how South America’s protected auto market is likely to resist a broader global move toward electric vehicles for years to come. FILE PHOTO: A man… Continue reading South America resists electric vehicles as local fuels remain in favor

Volvo to boost plug-in hybrid production to 25 percent of fleet

2020 Volvo XC90
While other automakers are moving away from plug-in hybrids to electric powertrains, Volvo is finding unexpected success with its lineup of plug-in hybrids.

At a recent roundtable with journalists in Sweden, Volvo CEO Hakan Samuelsson said the company is disappointed that it underestimated demand for its plug-in hybrids.

DON'T MISS: Volvo XC90, XC60 T8 plug-in hybrids add electric miles for 2020

“We are not happy because we could sell more [plug-in hybrids],” he said, according to Automotive News (subscription required.) “We underestimated the demand.” He said the company did not have a big enough supply of batteries, motors, and other electrical components to build more of its plug-in hybrids, which sell for about 30 percent more than non-hybrid versions of the cars.

Samuelsson said the company will boost its capacity for those plug-in hybrid components for 2019, from its current 10 or 15 percent worldwide, up to 25 percent of its sales.

READ THIS: Audi plans new plug-in hybrid Q5, A6, A7, and A8 for Geneva reveal

Last year in the U.S., Volvo sold a little less than 1,500 XC90 T8 PHEVs, a little more than 2,100 XC60 T8 PHEVs, and fewer than 500 S90 T8 sedans, but it sold almost 27,000 plug-in hybrids in Europe, combined.

At the same time, the company announced an upgrade to upcoming XC60 and XC90 T8 hybrids to boost their plug-in range by about 15 percent.

CHECK OUT: Fiat Chrysler lays groundwork to build electrified Jeep models

The new models haven't been rated by the EPA, but current models have an estimated 17 miles of electric range, which would put the new ones up around 20 miles. The Volvos use a 2.0-liter turbo-4 and an 8-speed automatic transmission to drive the front wheels, and an electric motor to provide another 87 horsepower and 177 pound-feet of torque to the rear wheels.

Volvo also announced a new B5 line of mild-hybrid SUVs for Europe.

Other automakers, such as Audi, BMW, and Jeep have also announced plans to boost their lineups of plug-in hybrid SUVs, earlier this month at the Geneva auto show, so the new Volvos will have plenty of competition.

Goodyear (GT) to Slash Jobs in Germany to Modernize Plants

Goodyear’s (GT) plan to cut jobs in Germany is likely to enhance the competitiveness of its manufacturing footprint and assist it in the production of large-rim-diameter premium tires.More The Goodyear Tire & Rubber Company GT plans to cut 1,100 jobs in Germany. This move is sync with its strategy to modernize its plant in Germany.… Continue reading Goodyear (GT) to Slash Jobs in Germany to Modernize Plants

Fiat Chrysler gains after Peugeot president points to merger potential

Daniel Acker | Bloomberg | Getty Images
A row of Fiat Chrysler Automobiles (FCA) 2017 Crysler Pacifica minivan vehicles are displayed for sale at a car dealership in Moline, Illinois, on Saturday, July 1, 2017.

Fiat Chrysler shares jumped on Tuesday to the top of Europe's STOXX 600 after the president of Peugeot family holding company FFP told French daily Les Echos he would support a new deal and suggested Fiat Chrysler was among the options.

“With them, as with others, the planets could be aligned,” Robert Peugeot was reported as saying, asked about targets for acquisitions or mergers.

Fiat Chrysler declined to comment.

Shares in the Italian-American carmaker were up 5.2 percent by 6:50 a.m. EST, while Peugeot gained 2.7 percent, helping boost Europe's autos index which was up 2.5 percent.

Peugeot's remarks came on the heels of reports the group's CEO Carlos Tavares is open to deals and that Fiat, General Motors, and Jaguar Land Rover could be ideal partners.

FCA's new boss Mike Manley, who took over after deal-making guru Sergio Marchionne died last year, said this month the carmaker was open to pursuing alliances and merger opportunities if they make sense and strengthen its future.

FCA is often cited as a possible merger candidate because of its strong exposure to the North American market, where it generates the lion's share of profits, and because of its popular Jeep, RAM and Maserati brands.

“PSA is essentially an EU pure play as things stand (roughly 90 percent of consolidated unit sales in EU) so an acquisition of a company with a broader reach would make strategic sense,” said Evercore ISI analyst Arndt Ellinghorst.

Investors and analysts alike were wary of betting on an imminent deal, though, mindful of potential antitrust obstacles.

“Although we believe that some M&A could materialize in the automotive sector, we do not expect it in the short term,” said Mediobanca Securities analyst Andrea Balloni.

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Fiat Chrysler revs up as Peugeot points to merger potential

LONDON (Reuters) – Fiat Chrysler shares jumped on Tuesday to the top of Europe’s STOXX 600 after the president of Peugeot family holding company FFP told French daily Les Echos he would support a new deal and suggested Fiat Chrysler was among the options. FILE PHOTO: Fiat Chrysler Automobiles logo is seen on a panel… Continue reading Fiat Chrysler revs up as Peugeot points to merger potential